8 Northumberland Avenue • London • Friday 27 September 2013 ▼ BEST FACTORY AWARDS Contents 3 Foreword Eaton Production International 25 Best Factory Awards director Dr Marek Szwejczewski As part of a $21 billion, 115,000-employee global on the finest factories and their drive for excellence enterprise, Worksop-based Eaton Production International knows it has to perform. And it certainly does 4 Welcome Toyota Material Handling’s Tony Wallis Siemens Industry Motion Control Works Management editor Max Gosney Forget the management speak – people really can be your 27 best asset, as proved by all-conquering variable speed Sponsors 5 drive manufacturer Siemens of Congleton Awards and winners 6 Tharsus Group 29 In just 10 years, Tharsus has evolved from a £1 million Sony UK Technology Centre 9 The accommodation of 50% more workload in man-hours ‘metal basher’ into an £11 million pioneer in a service known as OEDM. Intrigued? You should be over the past two years at Sony UK Technology Centre has reaped abundant rewards, the latest of which is the Tata Global Beverages coveted Factory of the Year 2013 prize The nation’s largest producer of teabags is the Eaglescliffe 31 plant of Tata Global Beverages, from where its famous Fujifilm Speciality Ink Systems 15 A £3m investment in a new plant twinned with a Tetley brand commands an impressive 28% of the UK market determination to get the best out of its people has helped DS Smith Packaging this Broadstairs plant reinvent itself in the digital ink age 32 Producing 140 million boxes a year, there’s no room for Milliken European Airbag Products 17 An adman in Mad Men might have come up with the line: slack performance at the UK’s undisputed leader in corrugated packaging ‘Milliken, you can bet your life on it.’ It would be a fittingly American turn of phrase for what is an archetypal Autoglym American family business. It also has the ring of truth Autoglym is on a mission to make the world’s most 33 successful vehicle care products – and judging by progress Bosch Thermotechnology 19 to date, its journey is well advanced A lot of manufacturing plant managers proudly boast that their plants are world class, customer focused, innovative Herman Miller and make products of the highest quality. Not so many Shipping £90 million of goods every year from its come up with such ample proof of these hard-won Chippenham facility puts Herman Miller in the premier attributes league of office furniture manufacturers EMS Radio Fire & Security Systems 21 34 Vi-Spring 35 Tumbling leadtimes, innovative product ventures and a Founded in 1901, Vi-Spring is the “inventor of the modern shopfloor passion for PDCA have put this SME head and bed”, an ethos it has transferred admirably into the annual shoulders above its larger rivals production of 135,000 mattresses Cummins Power Generation UK 23 Power generation as part of Cummins Inc represents 16% of revenue generated by five global sites. The only plant in Europe is at Manston, Kent. And quite a plant it is Published by Findlay Media, Hawley Mill, Hawley Road, Dartford, Kent DA2 7TJ T:01322 221144 www.findlay.co.uk Editor: Laura Cork Winners’ stories: Max Gosney, Ken Hurst and Steed Webzell Photography: Donald MacLellan, Iain McLean, Charles Milligan, Dean Smith and Andy Tucker 2-BFA www.bestfactoryawards.co.uk ▼ BEST FACTORY AWARDS Foreword Top of the class Dr Marek Szwejczewski reveals some of the factors that have set apart this year’s Best Factory Award winners from others in the sector F ollowing several lacklustre years, the economic indicators suggest that UK manufacturing is finally showing signs of continued growth. While the 2013 Best Factory Award winners have not been totally immune from the impact of the last five years, they have been diligent in their unrelenting drive for excellence. The Best Factory Awards provide us with a great opportunity to recognise and reward those excellent factories that have quietly and consistently improved their operations, and created worldclass plants. Reviewing this year’s best factories, it is possible to see common traits and trends. One of the encouraging trends that can be seen this year is that manufacturing is coming home. Several of the plants have been able to attract production to the UK due to competitive labour cost, skilled employees, workforce flexibility and excellent quality. This movement has also been influenced by customers who demand short lead times and it has gone along with increasing transportation costs and pressure to reduce stocks in the supply chain – all making a strategy of manufacturing offshore no longer attractive. As in previous years the winners had a clear manufacturing strategy, which was cascaded down the organisation to the factory floor. They were customer focused and continuous improvement was part of their culture – just something they naturally did. The factories also shared several other characteristics that were prominent this year. The best factories have been cutting their inventory levels: not just WIP, but raw material and finished goods stock levels. This has been achieved by reducing batch sizes, improved planning and implementing pull production. “drive The winners have improved their factories’ flexibility by compressing lead times, reducing set-up times and developing multi-skilled workers. This characteristic has given them a competitive edge compared to for excellence” competitors in other countries, where flexibility is not valued and employees are reluctant to work flexible hours or weekends. Many of the winners have adopted Six Sigma and integrated it into their established lean manufacturing system. In fact, the use of lean and Six Sigma is becoming the norm in many sectors. One of the reasons behind the winners’ success has been the fact that they have constantly innovated – by developing new products and, importantly, through process innovation. The factories have also reduced their energy consumption; through various simple actions combined with investment in technology and equipment, firms have been driving down their costs and helping to improve the bottom line. The winning factories show that manufacturing excellence is achieved by the commitment and actions of the workforce and management. We are proud to acknowledge and celebrate the achievements of the 2013 Best Factory Award winners. Dr Marek Szwejczewski Director, Best Factory Awards Cranfield School of Management www.bestfactoryawards.co.uk BFA-3 ▼ BEST FACTORY AWARDS Welcome Best of British F or the fourth successive year, we are proud to be associated with the Best Factory Awards as headline sponsor. This also our eighth year of involvement with the awards, during which time we have seen a massive change in the world economy with unprecedented pressure on business efficiency in order to survive. It is heartening to see that British manufacturing is emerging from the recent recession in such fine form – the sector is playing a vital role in the UK’s economic recovery. As the world’s number one manufacturer of materials handling equipment, our business is driven by the Toyota Production System (TPS) which focuses on quality, cost reduction and on-time delivery. TPS has enabled our business to grow and develop despite the harsh economic climate, so when I am asked about our involvement with the Best Factory Awards, it is for the same reasons. British factories are embracing lean technology and processes more than ever – and they are reaping the rich rewards of creating worldclass products, with a strong focus on cost and customer service. By being associated with the awards programme, we can give something back to this industry, recognising those businesses that make a difference and are rightly proud of their achievements. The Best Factory Awards have a superb reputation for the professional assessment criteria applied by the judges from Cranfield School of Management – to be shortlisted among this stellar group is truly something special. What’s more, every site that enters will gain a valuable insight of how they can improve, thanks to the benchmarking report that each entrant receives. It is a privilege to attend the awards ceremony and to feel the tension, atmosphere and anticipation of all those waiting to find out what they have won. We are delighted to be part of a programme that celebrates passion, commitment and British manufacturing excellence. Tony Wallis Sales and marketing director, Toyota Material Handling UK Eight seen nothing yet O lá, namaste and ni hao. This year’s Best Factory Awards mark the launch of an all-new export prize, where we celebrate UK manufacturing’s great international adventurers. It is apt, therefore, that the 2013 BFAs will be held for the first time in the surrounds of London’s 8 Northumberland Avenue, because eight is considered a very lucky number in the most idolised export market of them all, China. In China, when pronounced in the native tongue, the number sounds very close to ‘fortune’. So adamant are the Chinese of the feted power of eight that a telephone number featuring all eight digits reportedly sold for more than £200,000 in Chengdu. The Chinese are definitely on to something here. Many of our finalists who come to 8 Northumberland Avenue have found their luck to be very much in, amid the whir of rickshaws. The headlines may centre on the export success of British-made luxury cars among wealthy Chinese businessmen. Yet, in reality, cool Britannia has reached out from beyond the backseat of the latest Range Rover Evoque and into the hearts of wider Chinese society. UK-made goods are a byword for quality and spark something akin to Beatlemania in Beijing and beyond. From UV inks to packaging, she loves you and you know you should be glad. Yet, at an industry-wide level, our manufacturing exports disappoint. The trade deficit stands at £8.2 billion and we haven’t had a surplus since 1984. We lag behind Germany and France in exports to supercharged BRIC nations. On current form, BRIC exports won’t make up the majority of our orders until 2047. We can’t simply sit back and wait out the next 34 years. If we’re serious about rebalancing our economy, we have to translate the success of our 14 finalists to national level. The world waits for no manufacturer. Max Gosney Editor, Works Management 4-BFA www.bestfactoryawards.co.uk ▼ BEST FACTORY AWARDS Sponsors Works Management and Cranfield School of Management greatly appreciate the support of the sponsors of the Best Factory Awards 2013 EAL is the specialist awarding organisation for Epicor Software Corporation is a global leader, industry qualifications. delivering inspired business software solutions to EAL is the only awarding organisation to invest in manufacturing and other industries. With over 40 years Toyota Material Handling UK is very proud to be the industries it serves and the careers of those who of experience serving small, midmarket and larger sponsoring the Best Factory Awards. work within them, and as such is delighted to be enterprises, Epicor has more than 20,000 customers in sponsoring this year’s Best Factory Awards. over 150 countries. Epicor’s systems include enterprise Home to the world’s best-selling forklifts, powered warehouse trucks and unique hand resource planning (ERP) and supply chain management pallet trucks, we offer a single point of contact for (SCM), and enable companies to drive increased all your materials handling needs. Whatever your size of business, from a single truck user to some efficiency and improve profitability. www.eal.org.uk www.epicor.co.uk operator training, genuine parts and unbeatable IOSH was founded in 1945 and is the only chartered Lloyds Bank is committed to UK manufacturers and sales and service support tailored to your body for health and safety practitioners. With more focused on supporting them by committing an business needs. Toyota has the resources and than 40,000 members, we’re the world’s largest additional £1 billion of lending for manufacturers to experience to provide the best possible service to health and safety membership organisation. drive growth in the sector. We have invested in a team of the biggest names in manufacturing, we have the product and support services to be a strong business partner. As a direct organisation, Toyota is able to offer unrivalled levels of support, consisting of worldclass products, fleet management, short-term hire, its customers throughout the UK. As the acknowledged guardians of health and of relationship managers throughout the UK who are safety competency our mission is to see a world of trained and accredited in manufacturing awareness by work that is safe, healthy and sustainable through a the Warwick Manufacturing Group, ensuring they have pragmatic approach to health and safety legislation sector-specific knowledge and greater understanding of and practice. manufacturer's commercial business banking needs. www.iosh.co.uk www.lloydstsb.co.uk/manufacturing PEME is an exceptional engineering company that helps clients to maintain, improve and expand production assets. PEME enhances the reliability, safety, productivity and profitability of plant assets through integrated engineering services including: maintenance outsourcing, project installations, condition monitoring, reliability improvement, mechanical & electrical design and process software solutions. PEME has a proven track record, working with many chemical, food and automotive manufacturers and utility companies across the world. www.peme.co.uk Manufacturing continues to changes at an accelerating pace and higher standards of excellence are necessary. Today’s ‘world class’ will not be a differentiator in tomorrow’s world, just a mere qualification to take part. Progress depends on knowing what to do next. There is no better place to learn than from others who recognise the necessity to be the best. The BFA process allows you to rub shoulders with the best manufacturing companies in the UK. That is why PP sponsors the Best Factory Awards 2013. www.powerpanels.uk.com QiSOFT is proud to sponsor the Best Factory Awards and to be involved in such a celebration of UK manufacturing. The passion, focus and determination of those involved is inspiring, especially given current economic pressures. Our manufacturing intelligence software helps leading local and global manufacturers such as De La Rue, Unilever and Douwe Egberts to drive improvements in product quality; reducing waste and optimising production for happier customers and higher profits. www.qisoft.com Established in 1993, S A Partners is a global provider of As sponsor of the Best Process Plant, Schaeffler UK is Organised by: lean consulting and training. committed to supporting process plant improvement Call Toyota on 0870 850 1409 or visit the website. www.toyota-forklifts.co.uk We work with our clients giving them the power to activities. By advising on the most appropriate improve, enabling them to lead their own continuous condition monitoring tools and techniques, Schaeffler improvement activities. We train, coach and mentor so can help eliminate the risk of unplanned downtime and they can drive change themselves. maximise plant productivity. As UK subsidiary of an This is key factor in how a sustainable legacy is international manufacturing group employing over created. Strategic direction is provided, coupled with 76,000 people in 180 locations, Schaeffler is a leading hands-on implementation to guide cultural and manufacturer of precision bearings and automotive organisational transformation using lean thinking. engine components and systems. www.sapartners.com www.schaeffler.co.uk www.bestfactoryawards.co.uk www.worksmanagement.co.uk www.som.cranfield.ac.uk BFA-5 ▼ BEST FACTORY AWARDS 2013 Best Factory Award Factory of the Year 2013 Best SME Sponsored by Toyota Material Handling UK Sponsored by Lloyds Bank Winner: Winner: Sony UK Technology Centre Tharsus Group Best Process Plant Highly Commended: EMS Radio Fire & Security Systems Sponsored by Schaeffler People & Skills Development Award Winner: Sponsored by EAL Fujifilm Speciality Ink Systems Winner: Best Engineering Plant Siemens Industry Motion Control Sponsored by PEME Highly Commended: Tata Global Beverages Winner: Supply Chain Award Bosch Thermotechnology Winner: Best Electronics & Electrical Plant Milliken European Airbag Products Sponsored by PP Electrical Systems Winner: Highly Commended: DS Smith Packaging Sony UK Technology Centre Highly Commended: Eaton Production International Highly Commended: Siemens Industry Motion Control Best Household & General Products Plant Sponsored by QiSOFT Winner: Milliken European Airbag Products Highly Commended: DS Smith Packaging Highly Commended: Tata Global Beverages Most Improved Plant Sponsored by S A Partners Winner: Cummins Power Generation Highly Commended: Fujifilm Speciality Ink Systems Export Award Winner: Cummins Power Generation Highly Commended: Fujifilm Speciality Ink Systems Headline sponsor 6-BFA Supported by www.bestfactoryawards.co.uk ▼ BEST FACTORY AWARDS Awards and winners winners Health & Safety Award Sponsored by IOSH Winner: Bosch Thermotechnology DS Smith Packaging Highly Commended: EMS Radio Fire & Security Systems ▼ Innovation Award Livingston Sponsored by Epicor Winner: Tharsus Group ▼ Sony UK Technology Centre Highly Commended: Bosch Thermotechnology Tata Global Beverages ▼ Energy & Environment Award Winner: Stockton-on-Tees Milliken European Airbag Products Eaton Production International Highly Commended: Bosch Thermotechnology Highly Commended: Sony UK Technology Centre Blyth ▼ Bury Siemens Industry Motion Control Congleton Eaton Production International ▼ ▼ Worksop Judges’ Special Award Sponsored by Cranfield School of Management Bosch Thermotechnology Winner: Tata Global Beverages Highly Commended: Autoglym Highly Commended: Herman Miller Highly Commended: Vi-Spring ▼ Sony UK Technology Centre Pencoed ▼ Worcester Herman Miller ▼ Chippenham Autoglym ▼ Letchworth Fujifilm Speciality Ink Systems Broadstairs ▼ Vi-Spring ▼ Plymouth EMS Radio Fire & Security Systems Herne Bay Cummins Power Generation UK Ramsgate www.bestfactoryawards.co.uk BFA-7 +LJKO\HI¿FLHQWEXVLQHVVHV GHVHUYHKLJKO\HI¿FLHQWSDUWQHUV Toyota quality forklifts & warehouse trucks Help to drive down costs in your operation Call us today 0870 850 1409 or visit By improving HI¿FLHQF\ & safety www.toyota-forklifts.co.uk National 24/7 service and parts coverage Short-term and long-term rental solutions @ToyotaMH_UK company/toyotamaterial-handling-uk ToyotaMHUK Fleet Management Solutions Operator Training Academy ▼ BEST FACTORY AWARDS Sony UK Technology Centre Winner: Toyota Material Handling Factory of the Year 2013 Winner: Best Electronics & Electrical Plant Winner: Innovation Award Highly Commended: Energy & Environment Award The big picture The accommodation of 50% more workload in man-hours over the past two years at Sony UK Technology Centre has reaped abundant rewards, the latest of which is the coveted Factory of the Year 2013 prize I t’s been quite a year for the Pencoed facility of Sony UK Technology Centre (Sony UKTec). In line with its mid-range plan through to 2015, the plant has implemented a multi-point strategy of attack that’s witnessed new ‘whale-sized’ business wins, greater process innovation through automation, increased tenant occupation within its Business Incubation Centre and the introduction of overheadcost-down initiatives. These aims and many others have been achieved with close ties to divisional objective matrices and individually defined goals; pretty impressive for a factory that only diversified away from television manufacture as recently as 2004. When this 350-employee facility first commenced the production of broadcast and professional camera systems, it had a mountain to climb. Shifting from highvolume, short takt time television manufacture, to low-volume, multiplemodel camera systems meant increasing its skills base, engendering greater staff engagement and essentially redesigning its entire manufacturing operation. A good measure of the plant’s success is reflected by its ever expanding list of customers and markets. The company’s renewable energy. In total, 86% of Commanding the attention of 22 operators, completed products at Pencoed are peak operating rates are in the order of exported. Arguably the biggest success story of 48,000 a week. However, if the Raspberry Pi is the aforementioned ‘whale’, then broadcast camera systems are now used 2013 surrounds the Raspberry Pi, a credit- there are plenty of big fish besides when it by household names such as the BBC, ITV card-sized, single-board computer released comes to the uptake of collaborative manufacturing services at Pencoed. and Sky Sports, as well as international last year for the intention of teaching basic giants like NBC, CNN and Fox Sports, to computer science in schools. Faced with name but a few. In turn, this has inspired some “challenges” emerging from the Previously manufactured in China, the CyDen intense-pulsed light hair removal diversification into contract manufacturing decision to manufacture initial volumes in device commenced production at Sony markets such as medical electronics and China, the Raspberry Pi Foundation heard UKTec 12 months ago using 16 operators. about the collaborative contract Similarly, LRL energy-efficient street manufacturing services offered at Sony lighting arrived at Pencoed after its UKTec. “We did some analysis and put forward a production solution, along with a engaged on this product. Through successful bid for the contract,” states innovative use of existing space at Richard Wilkins, senior manager and head Pencoed, all of the new third party of plant quality and innovation at Sony products have been introduced without UKTec. “The Raspberry Pi now has its own increasing overheads. production area that exploits Sony skills and procedures, and all the quality benefits this affords.” Since Q3 2012, Pencoed has shipped no fewer than 1 million Raspberry Pi units. www.bestfactoryawards.co.uk Canadian owners wanted a European partner. Seven Sony UKTec operators are Aside from the success of its third party contract manufacturing, the production of system cameras for outside broadcast and studio use remains core business at Pencoed. Engaging 103 » BFA-9 Innovation Inspires James. James B. Age 52. CEO and sunday league coach. Epicor Inspires Innovation James knows that Epicor manufacturing software inspires efficiency at his company by connecting people, processes, and applications for an agile manufacturing operation. That’s why James—and more than 20,000 global customers—rely on the innovative, industryfocused software that synchronises supply, demand, and fulfillment to drive new, industry-leading levels of business performance for his company. Learn more about ERP and MES designed specifically for manufacturing. epicor.com/uk/manufacturing Copyright © 2013 Epicor Software Corporation. Epicor, the Epicor logo, and Business Inspired are trademarks or registered trademarks in the United States and other countries. All rights reserved. ▼ BEST FACTORY AWARDS Sony UK Technology Centre Winner: Toyota Material Handling Factory of the Year 2013 Winner: Best Electronics & Electrical Plant Winner: Innovation Award Highly Commended: Energy & Environment Award employees, more than 13,000 units per one serial number, which helps impart have undergone considerable year are produced across 60 different quality accountability. improvement. These ‘SuperTest’ cells have product types. Such has been the impact that the site has recently secured The new one-person assembly cells are known as ‘SuperAssy’, a word derived from evolved from manual testing with several operators to a new format using a single additional Sony business. For instance, the Japanese subarashii, which means operator overseeing four automated test Pencoed now manufactures 300 fantastic. Based on a common format to stations. In combination, the new assembly professional Sony camcorders a month accommodate any model, any time, the and test ‘SuperCells’ have contributed to across five different models using 18 common assembly stations feature an increase in overall efficiency greater operators. In the production process at Sony automated operation standards. Electronic than 50%. No surprise then that Sony displays provide step-by-step work UKTec is not just this year’s Best UKTec, components leave the warehouse instructions and jig identification, as well Electronics & Electrical Plant, but also a and head for automated or manual PWB as aid rapid changeover. worthy winner of the Innovation Award. mounting operations; or to the clean room Similarly, the test cells at Sony UKTec two paths merge (along with the power supply) at the general assembly stage. From here, subsequent test, QC, packing and despatch make for a slick operation. The production strategy evolves every year. For instance, in assembly, C-shape lean cells have recently been replaced with true single-person cells. Using the seven wastes to help define the transformation, the result is an impressive 30% greater efficiency. Furthermore, one person means www.bestfactoryawards.co.uk Of course, all this production expediency is dependent on an efficient for prism and optical head assembly. The supply chain for the site’s 21,500 part TOP 3 numbers. Here, Pencoed excels using a POINTS ▼ Accommodated 50% more workload in man-hours over past two years ▼ New contract to manufacture the Raspberry Pi, producing 42,000 a week ▼ Introduced ‘SuperCells’ to boost assembly/test efficiency by 50% number of initiatives that have led to considerably reduced inventory (and cost) for raw materials. For instance, the company recently staged its first Sony/ESTnet supply chain event. “We link up with other electronics and automotive companies in Wales to explore supply chain initiatives that might be mutually beneficial,” says Wilkins. “For » BFA-11 WORLD CLASS QUALITY THROUGH WORLD CLASS CONNECTIVITY World leading providers of electrical control systems, cable harnesses and sub-contract manufacturing solutions. Six Sigma quality processes Continued investment in the lastest automation SC21 Signatory, Aerospace & Defence 7 “Best Factory” Awards 2 “Manufacturing Excellence” Awards Power Panels Electrical Systems Limited, Landywood Green, Cheslyn Hay, Walsall, West Midlands WS6 7AL t f e w +44 (0)1922 419109 +44 (0)1922 418181 sales@power-panels.co.uk www.powerpanels.uk.com 508A ▼ BEST FACTORY AWARDS Sony UK Technology Centre Winner: Toyota Material Handling Factory of the Year 2013 Winner: Best Electronics & Electrical Plant Winner: Innovation Award Highly Commended: Energy & Environment Award instance, if we have parts that are the same or very similar, which are currently being made overseas, we use this event to see if any suppliers in Wales or the UK can offer a manufacturing solution. This often yields competitive pricing advantages as well as lead time and inventory benefits.” In terms of staff engagement, key events of the past 12 months include the introduction of personal development records and a new plant bonus scheme, which is weighted equally on innovation participation, new learning and development, and values and behaviours. Furthermore, the continuation of so-called ‘red jacket days’ are the epitome of staff participation. These regular innovation events allow each production area to drive self-defining and self-governing improvement initiatives. Underpinning all of the company’s engagement and improvement initiatives is an intensive training programme. The company’s Learning Academy features a dedicated central hub and a roadmap showing clearly defined objectives and actions that embrace core skills development, leadership development and new staff induction. Cross-training initiatives are implemented using flexibility charts and skills matrices. Based on a central database of skills, knowledge is measured both before and after training. In the past 12 months, some Conducted by Towers Watson, all renewable energy on site at Pencoed, 301 team players received on-the-job/key employees were quizzed on 52 questions which is currently in consultation. skills training, while 191 were subject to ranging from leadership, engagement and Ultimately, enough drive and determination induction/core skills training. A further 409 innovation, through to talent management, to secure a Highly Commended in this received leadership training, typically ILM climate and supervision. Not only did all year’s Energy & Environment Award. accredited. categories show an improvement over the As a consequence of its efforts in staff previous survey a year ago, but the result Beyond its own ambitions, the Sony UKTec Business Incubation Centre engagement and training, the Pencoed site proved to be the best across the entire demonstrates that Pencoed is truly the recently achieved its best ever Sony global Sony Corporation. home of innovation. Nearly at capacity, the survey result for employee satisfaction. From a green perspective, the goals here are clear. The company has established a working group to target part of a shared community of like-minded energy reduction and waste in its people. It is already home to many processes. The aim is to inject independent companies from sectors such sustainability into the manufacturing as digital technology, renewable energy, culture without compromising competitive media and gaming. advantage. The result of this investment in time and resources has led to a 5% www.bestfactoryawards.co.uk BIC presents young but flourishing businesses with the opportunity to become As an all-round performer, Sony UKTec is able to demonstrate admirable business reduction in energy use over the past 12 credentials across the board. The months, as well as impressive improvements made over the past year improvements in waste recycling rates as and its roadmap for the future have the company pushes towards its long-term propelled the company to world-class ambition of zero carbon footprint. The next status: a worthy winner of the Factory of initiative involves the generation of the Year 2013. ■ BFA-13 Together we move the World... Innovative technology partner for automotive, industrial and precision engineering applications Increased energy efficiency, lower costs, strict low carbon objectives and improved operational safety are just some of the challenges presented to us by our customers. As a development partner, Schaeffler delivers the reliability, the quality and the innovation you need to move your world. Our award-winning engineers excel at creative engineering that often involves an unconventional approach. We question established conventions, find unusual paths and dare to apply different perspectives to enable us to realise new and remarkable ideas. Let us work together to realise your new and remarkable ideas. Together we move the world. www.schaeffler.co.uk ▼ BEST FACTORY AWARDS Fujifilm Speciality Ink Systems Winner: Best Process Plant Highly Commended: Most Improved Plant Highly Commended: Export Award Digitally remastered A £3 million investment in a new plant, twinned with a determination to get the best out of its people, has helped this Broadstairs manufacturer to reinvent itself in the digital ink age C hameleons aren’t native to the less a comfortable margin for error during than tropical climes of North Kent. production. Life in the digital age is more Yet, nestled beyond the windswept exacting, as Boughton explains: “We’re now beaches of Broadstairs, lies a haven for the down to ink pigment sizes of below 100 famously adaptable lizard. Fujifilm Speciality Ink Systems of Pysons Road – once the UK’s largest manufacturer of analogue screen inks – has morphed into the top producer of UV-curing digital inks. nanometres with our new pigment dispersion equipment – that’s about the size of a human cell.” Precision is critical, with digital printers ejecting ink from more nozzles at a faster Since winning a Best Factory Award in pace than analogue ancestors. Boughton 2011, the plant has cranked up the pace of says: “One of our demonstration printers on colour change. A new £3m digital ink production facility has arrived without disruption to customers or to 97% right-first-time (RFT) rates. Employees have moved from part-time improvement enthusiasts to professional CI site drops 2.1 billion droplets of ink per second. That gives you an idea of how small the ink particulate has to be.” Quality is enshrined in a meticulous mixing process that combines automatic dosing controlled by touchscreen control panels. The site has also invested £500,000 in pigment dispersion kit: alongside the combining the RFID tagging and de-gassing new digital facility, this has helped reduce of ink storage pouches, and a 50% the labour cost per kg by 40%. The new improvement in line packing rates. digital facility was entirely self-funded with necessity as Fujifilm tries to keep pace with Tokyo has been bursting with pride ever burgeoning international demand for its since Broadstairs won a Best Factory inks. Almost 85% of products go overseas, Award in 2011. with rapid growth in China. The rise of The new facility’s successful integration hefty demand for inks that feature in plant. Operators steeped in the analogue everything from signage to shopping bag age have been digitally remastered through logos. Buyers all want inks ‘made in the UK’ intensive training centred on multi-skilling. – a badge of quality. dispersing pigments to the nearest being the last man standing in screen inks nanometre and commitment to workforce and RFT levels for analogue have soared to skills, the team at Broadstairs is more than 94% from 78% in 2011, thanks to the living up to the billing. ■ application of digital production rigour. the way. And Fujifilm has gone However, shopfloor stars now aspire to international: the billboards of Beijing’s work in digital, not analogue production. “We were a screen company with a Operators can voice this desire through voluntary personal development plans. The scheme launched in 2012 and has fast- digital future,” says operations director tracked 16 employees to an NVQ in Colin Boughton, of the site’s progress since Business Improvement Techniques. There’s 2011. “Now our mantra is we are a digital plenty of scope, too, for homework back at company with a screen heritage.” Today, Broadstairs. Three cross-functional CI teams digital commands 53% of ink sales, pursue kaizen, captained by two new full- compared to 39% two years ago. time CI process specialists. Tactics are The market shift has had monumental manufacturing implications. Making analogue inks is akin to mixing paints, with www.bestfactoryawards.co.uk And with their deliberations over forgotten, though. Fujifilm is committed to converts and saved 3,195 man-hours along oranges and blues made in Broadstairs. consumerism in the country is creating is as much about investment in people as in Analogue ink production hasn’t been shopping centres are ablaze with reds, Faster packing has been something of a full backing from the site’s Japanese HQ. formulated in a new CI command centre. Top initiatives so far include a five-week TOP 3 POINTS ▼ Reinvented itself as a world-beating manufacturer of precision digital inks ▼ Launched a new £3m digital manufacturing plant in the busiest period without a dip in quality or delivery rates ▼ Shopfloor fanatical about improvement: 3,195 man-hours saved through kaizen projects saving per year in preparation times after BFA-15 ▼ BEST FACTORY AWARDS Milliken European Airbag Products Winner: Best Household & General Products Plant Winner: Supply Chain Award A plant to bet your life on An adman in Mad Men might have come up with the line: ‘Milliken, you can bet your life on it.’ It would be a fittingly American turn of phrase for what is an archetypal American family business. It also has the ring of truth M illiken is a US-owned business, for example, have doubled since 2007. On- founded in the 19th century and time delivery currently stands at all but headquartered in South Carolina. Its real self- 100% and the perfect order measure is very adopted catchphrase – which unarguably nearly as high. These performances are also has a flavour of Americana about it – is displayed for everyone on the shopfloor to ‘a strong sense of purpose to do good’. It see. may sound a little corny, but Milliken did, after all, set down its first recycling policy in Alongside much else; like the life-sized mannequin nicknamed Ian Dury (the clue is 1900 and, today, can lay genuine claim to in the name when you slur it) who ‘adding real value to people’s lives’. contributes more than window dressing to Far away from Spartanburg, in the textiles town of Bury in Lancashire, Milliken the plant’s determination to ‘add real value to people’s lives and improve health and TOP 3 POINTS ▼ Productivity targets of metres-perman-hour have been beaten every year for five years ▼ An exemplar of supply chain excellence, with kanbans and supermarkets keeping inventory levels to the minimum ▼ The site achieves world-class OEE standards does just that. The Wellington plant, the core safety’. The dummy is re-dressed every of which was built in the 1890s and bought week as a reminder of the risks to anyone combines multiple section beams into loom by Milliken as its first European outpost in block-headed enough to put at risk their beams. The weaving that converts the yarn the 1960s, is now the home of Milliken own safety and mar a lost time and to fabric. The scouring that removes the by European Airbag Products. recordable incident rate of less than one, now redundant size and yarn oils. The and a total incident rate of just six per coating that enhances the product Combining traditional textile production with clever chemistry, the much modernised factory still echoes to the clatter of 100-plus 200,000 hours. As well as being a worthy nominee for performance; 100% inspection and fault marking (although this is still done by an the Health & Safety Award and the winner of experienced human eye). Then the laser the Supply Chain Award, only a plant with cutting to pattern, laboratory testing, all-round world-class performance gets to be warehousing and, finally, waste segregation selected for the Best Factory Award in its and baling. manufacturing sector. Milliken’s modern day manifestation of a largely long-gone British Who knows how many more weavers might have survived the international textiles industry would make its antecedents onslaught on their industry in the first half of especially proud. the 20th century had they been able to Now, as then, it is the automation of complex processes that dominate the mill. boast productivity that outstripped tough metres-per-man-hour targets in each of the The initial sizing which applies polyacrylic last five years. Or increasingly exceeded acid, making workable the raw, chemically world-class overall equipment effectiveness produced warp yarn. The beaming that (OEE) performance. ■ weaving looms, making the material from which its automotive supply chain customers across Europe, the US, China, Mexico, South Africa and Russia, fashion airbags that the rest of us do, indeed, bet our lives on every day. Indeed, the plant is an exemplar of supply chain excellence that sees deliveries of raw materials organised for optimum product flow through the production process, and the use of kanbans and supermarkets to ensure products are only made as needed to keep inventory at the required levels. Inventory value, days and turns are measured, recorded and tracked – the turns, www.bestfactoryawards.co.uk BFA-17 ▼ BEST FACTORY AWARDS Bosch Thermotechnology Winner: Best Engineering Plant Winner: Health & Safety Award Highly Commended: Innovation Award Highly Commended: Energy & Environment Award Hot on customer service A lot of manufacturing managers proudly boast that their plants are world class, customer focused, innovative and make products of the highest quality. Not so many come up with such ample proof of these hard-won attributes I t is to their credit that Bosch line assembly, is that group’s manufacturing Thermotechnology’s manufacturing centre of competence. director Bob Murdoch and business excellence manager Andrew Bentley ask for It showed the Best Factory judges its plans as far ahead as 2017 to further a little time to answer the question: ‘What develop lean assembly lines and to makes your plant great?’ increase flexibility that already allows They decide on a long sentence that working hours in the factory to be quickly nevertheless sets out who they are and adjusted from a 30-hour to 48-hour week. what they do. “As the UK’s leading The plant operates to the credo, ‘We only manufacturer of domestic heating and hot manufacture boilers that we’ve sold’. water technologies, with a world-class manufacturing strategy to deliver an Customers are encouraged to visit the factory, talk to the shopfloor employees – unrivalled customer focus, the Worcester who Bosch prefers to call associates – and plant continues to deliver exceptional levels are able to see “that the product they are of product quality, customer satisfaction buying is made in the UK”. and innovation.” Or, to put it simply: they make top Focused on quality (“with the Bosch name, you have to be”), Worcester has not quality hot water boilers that customers only won internal quality awards but all its like. And they do it very efficiently. products are Which? magazine best buys. But that is to ignore other high Process innovation also features prominently. For example, the production process includes friction stir welding, developed by Bosch working alongside the that responds to signals from customers process licence holders, the Welding into the manufacturing plant and on into Institute. Worcester Bosch is the first plant the supply chain. in the UK to use it for serial production. ‘Customers’ and associates inside the Customers enjoy same- or next-day plant are also important. In the health and delivery, while service vehicles are safety arena, this site is again best of breed replenished overnight with fresh supplies of within Bosch Thermotechnology. Worcester the spares used the previous day; parts is not a high-risk plant but does have more orders placed by 5pm are received by 10am equipment and more complexities than the next morning. most, and prefers to follow procedures that Further up the supply chain, Worcester “give associates the ownership of their own performance achievements that shine out Bosch operates a development programme when the plant is scrutinised on areas such with suppliers based in the UK, Europe and as health and safety, its environmental low-cost countries such as China. They are development credentials are underlined by credentials, people and skills development, all involved in the factory’s pull strategy its training, currently, of 49 apprentices, a Worcester Bosch, as it is generally known, is the UK’s number one supplier in its market – a position it puts down to a business strategy that defines customer focus as its undisputed number one priority. The site has been on its continuous improvement journey for 15 years. It was the pilot for the Toyota-based Bosch Production System and now, as the first in the worldwide, 23-factory-strong Bosch Thermotechnology group to introduce lean www.bestfactoryawards.co.uk Its people management and skills graduate programme featuring scholarships supply chain prowess and self improvement. health and safety”. and funding, and a well-managed TOP 3 competency framework that identifies strengths and areas for improvement. POINTS ▼ A world-class manufacturing strategy built on flexibility and lean assembly lines ▼ Unrivalled customer focus that encourages factory visits and delivers one-day lead times ▼ Exceptional product quality, evidenced by internal and external accolades It is proud of its strong links with local schools and the Young Enterprise scheme. Social responsibility also extends to environmental concerns that have seen the plant, which was set a target of achieving a 15% reduction in carbon emissions between 2007 and 2012, again outperform its Bosch companion plants by registering a 23% reduction. It also sends nothing to landfill and its products are 100% recyclable. ■ BFA-19 You’re at the top of your game Now join the best in safety. Tap into the expertise of the world’s largest health and safety organisation. Join IOSH, the only Chartered body for health and safety. You’ll be able to develop new skills, build your management credibility and network with safety professionals in your sector, as well as get unlimited access to our helpline and all the latest industry news. Join as an Affiliate Member today at www.iosh.co.uk/joinus – then talk to us about getting the best out of your career. 40,000 members. One voice. Institution of Occupational Safety and Health t +44 (0)116 257 3100 www.iosh.co.uk ▼ BEST FACTORY AWARDS EMS Radio Fire & Security Systems Highly Commended: Best SME Highly Commended: Health & Safety Award Alarmingly good Tumbling lead times, innovative product ventures and a shopfloor passion for PDCA have put this SME head and shoulders above its larger rivals A slingshot isn’t the only way to take on OEM will market the alarm on the strength Goliath. An arsenal of manufacturing of EMS’s much sought-after RF. agility, innovation and adaptability keep The joint venture into premium fire light-footed EMS Radio Fire & Security detection products, where systems can Systems dancing around its bigger rivals. retail for £100,000, will be complemented by The Herne Bay factory combines a core a solo bid to boost sales in the conventional expertise in wireless fire alarm systems market. The Herne Bay site is set to launch a with contract manufacture of products new product range next year. ranging from printed circuit boards to laser telemetry systems for avionics. In its staple alarm system market, EMS Success in both ventures is underpinned by a first-rate factory. Since 2010, inventory has dropped 19% and lead times from one locks horns with multiple global giants. All week to 2-3 days. And speed matters in this have deep pockets to throw at product market. A fire detection system is often an development, marketing and new plant. The pendulum has swung even further towards the big guns since EMS’s last BFA TOP 3 POINTS ▼ Develops market-leading systems – both own brand and JVs – and contract manufactures everything from PCBs to avionics ▼ Winning business through outstanding product quality and lightning-fast lead times ▼ PDCA-powered CI has fuelled operational savings in excess of £250,000 afterthought for architects, so eleventh-hour calls are not unusual. The factory has an exemplary health and fire detection systems and a PCB build area. Innovation is everywhere: laser-guided lights finals appearance in 2010. All alarm systems safety record, with the last lost-time direct employees to place components in face mandatory accreditation to European accident in 2009. the precise spot, and employees are multi- safety standards, which cost around EMS has long had a foundation of 5S, skilled to allow interchange between cells. £500,000 to introduce. EMS has pushed kanban and one-piece flow. But its two new ahead with compliance across its product CI signings have set the factory apart this masterminded by a bespoke IT system year. A plan-do-check-act initiative has known as DMC. The system gives live stolen the hearts of the site’s 80-strong updates on customer orders and uses poke shopfloor and helped identify £250,000 in yoke in conjunction with barcode tracking. savings. Operators almost leap out of their It’s a triumph of dynamic manufacturing Little wonder, then, that the shopfloor is a chairs to tell you about the latest PDCA- key sales tool. “I bring customers in as often enacted improvement idea. as I can,” says Mulvihill. “They make their The second hit has been a lineside stocking system, introduced after managers own mind up from there.” EMS has now started on the electronics spotted it during a tour of another BFA- and product assembly for automated cash winning site. Positioning more materials by management technology from Cash Bases, work areas instead of in a central store has which is then deployed by supermarket giant reduced WIP by 52%. Tesco. This is one SME that’s not afraid to The factory is segmented into cells for think big. ■ range. Certification is an investment rather than an expense, says operations director Chris Mulvihill. “The only way we can begin to compete is to show we are at least as legitimate as them and, on a product and application level, maybe better.” EMS’s key advantage is in the clever stuff – the wireless radio frequency (RF) that connects multiple alarms. EMS is about to produce a new RF system for an OEM. Mulvihill explains: “It’s one of the strategic moves we planned. We’re a company of a certain size; we have limited financial might. The best way for us to propagate our products is to work with third parties.” The www.bestfactoryawards.co.uk BFA-21 Over 20 years experience of helping businesses develop sustainable business culture System of Work “ System of thinking and behaviour System of Improvement We do this through a unique blend of systems which enable stable standarised work, critical thinking & behaviour and dynamic improvement, to ensure that your continuous improvement journey is focussed, timely and successful ” S A Partners S A Partners LLP • +44 (0) 2920 881014 • www.sapartners.com Find out more about how we can help your business, by calling Steve Baker on +44 (0) 7717 681909 ▼ BEST FACTORY AWARDS Cummins Power Generation UK Winner: Export Award Winner: Most Improved Plant Staying power Power generation as part of Cummins Inc represents 16% of revenue generated by five global sites. The only plant in Europe is at Manston, Kent. And quite a plant it is A t the start of every year, the plant has helped drive improvements in first- manager at the Manston, Kent site of time passes at test. Cummins Power Generation sets out a single-page list of goals. It’s an important Ultimately, the site is aiming to boost its revenue using a number of manufacturing moment in defining the 12 months ahead. strategy projects through to 2015. These In 2013, the list was headed by further include ongoing standardisation and development of the company’s safety integration of records into EASE culture. This was followed by a number of manufacturing document manager challenging targets, which included the software. Here, reviewing any gaps in the reduction of conversion costs per standard manufacturing records will create targets hour, along with improved inventory turns, for improvement in achieving ‘standard quality and on-time delivery (OTD), to name work’. The first phase of this process has but a few. The onus then falls on the already been completed in the plant’s HHP management team and workforce to lean burn generator area, where the layout implement, deliver and review these has changed from the previous bay build ambitions. Needless to say, this year the company is performing well. For instance, both process to a new multi-stage flow line. A second stage project has now commenced to further improve line velocity and increase capacity. The company is also implementing a Achievements of this ilk require the transformation vision for its supply chain. engagement of the entire workforce and Cummins Power Generation UK exports here Cummins Power Generation excels. almost all of its products, with the Middle Among the initiatives in 2013 is an East, China and Australia among the prime employee engagement survey, the launch destinations. The key strategies to manage of manager training sessions, the ROAR its market-focused supply chains include (recruit, onboard, advise, retain) affinity the implementation of forward positioning support group for new starters, and an for finished goods to enable immediate increase in graduate placements as part of product availability. Furthermore, key the company’s hire-to-develop strategy. products are being dual sourced to respond All professional employees have a effectively to unplanned demand, while workplan which is managed through an component kitting and product knock-down online system, with individual strengths, is being used to deliver the lowest total development areas and likely next roles landed cost. Added to the fact that the reviewed regularly. From an operator team supports 97% of customers in their perspective, new starters get two weeks’ own language, this is clearly a company training before being buddied with a with a vested interest in optimising its competent person and subsequently productivity and on-time delivery have overseas trade operations. As a working their way through a training matrix been edging upwards – in fact, the latter consequence, it becomes a worthy winner and gaining NVQ certification. has now hit 100%. Furthermore, a safety T- of this year’s Export Award. card system that engages employees in documenting safety improvement ideas and issues has led to a new culture and zero incidents. The manufacturing of power generation equipment at Manston is continuing its unerring march towards the automotive benchmark. For instance, work instructions are now not only standardised, they are electronic and available to access at workstation touchscreens – a move that www.bestfactoryawards.co.uk TOP 3 The result of this intensive people investment is an overall improvement in plant PPM – in fact, the site secured the group chairman’s 2012 quality award as a POINTS ▼ On-time delivery now at 100% ▼ Bay build processes being replaced with multi-stage flow lines ▼ 19 languages accommodated in the plant’s customer support function result of its endeavours. There’s no doubting that this plant has made huge strides in recent times, showing improvements in shopfloor productivity, ontime deliveries, customer delivered quality and lead times. Ultimately then, a deserved recipient of this year’s Most Improved Plant Award. ■ BFA-23 20 - 21 November Cranage Hall, Cheshire The ultimate Continuous Improvement event 10% Benefits of attending the all new WMMC 2013: • Exclusive factory tours to Airbus, Jaguar Land Rover, Quinn Glass, Siemens and Vauxhall • The best CI advice from a glittering line-up of speakers representing Britain’s most successful manufacturers • • group dis for 3 o count rm deleg ore ates Practical tales of CI triumph from frontline team leaders and operators Enhanced hands-on workshop sessions Siemens Jaguar Land Rover Siemens' Congleton site, which manufactures over 500,000 electronic drives per year, is regarded as a jewel in the crown by the manufacturing giant. » Jaguar Land Rover's Halewood site will show how workforce-led kaizen helps the factory keep pace with soaring demand for Range Rover Evoque and Land Rover Freelander 2 models. Airbus, Broughton lays claim to being the leading wing manufacturing plant in Europe. Quinn Glass, Elton produces a range of glass containers for the food and beverage industry. Vauxhall » Quinn Glass » » » Airbus Vauxhall's Ellesmere Port plant will showcase outstanding employee engagement. www.wmmc.co.uk Places are limited. Don’t miss out, book yours today. Call Julie Knox on 01322 221144, email Julie.knox@findlay.co.uk ▼ BEST FACTORY AWARDS Eaton Production International Winner: Energy & Environment Award Highly Commended: Best Electronics & Electrical Plant Switched-on performance As part of a $21 billion, 115,000-employee global enterprise, Worksop-based Eaton Production International knows it has to perform. And it certainly does D edicated to the manufacturing of currently on-target, mostly achieved via switch disconnectors and rotary cam ELSS (Eaton Lean Six Sigma) and direct switches used by machine builders, the material savings. ELSS is also helping to Eaton site at Worksop produces around 1 drive OTD, which currently stands at 98%. million of each basic switch type every year, although around 17,000 live products are CI activities are abundant. For instance, Worksop held its first value analysis/value engineering event earlier this year. Focusing available. Lead times here are short, typically 1-4 on its highest volume assembly line, the days from receipt of order. As a result, company established a cross-functional production must be quick, flexible and cost team of 23. Collectively, through walking effective, without any detriment to the the process and brainstorming, 84 ideas for company’s high quality standards. Orders improvement were identified, nine of which are downloaded into SAP, from where were selected and approved with projected capacity planning and MRP lead to the savings of £168,000. There is also an generation of production orders. Each PO employee suggestion scheme with features a barcode and all operations are quarterly merit and financial awards. recorded against takt times of 30-80 seconds. SAP calculates efficiencies against Manufacturing emphasis is very much focused in-house. The Worksop facility standard times, with performance fed back to individual operators. This data helps plan Eaton Production International has overall cell efficiencies. around 200 employees serving 13 years on The lean journey at Worksop commenced four years ago when Eaton average. The factory workforce is multi- acquired the Moeller Group. As a result, the skilled with training matrices in place for plant now uses a well-defined leadership each department. What’s more, 45 have model linked to overall business objectives now completed NVQ Level 2 in BIT. True such as growing turnover by 6% year on flexible working patterns are deployed year through to 2017. Known as APEX where full time workers can flex by up to (Achieving Performance EXcellence), the +/-36 hours to suit requirements. This model starts with the setting of directions flexibility works both ways, to suit worker and plans. Organisation and alignment and company. As a result, there is no comes via role models and team temporary labour on site. empowerment, while performance analysis features a 28-machine mould shop arrives by way of development, reward and (including twin-shot technology), press Another area in which Eaton Production excels is all things green. ISO 14001 recognition, which in turn motivates shop, toolroom, assembly shop, test, accredited, the site is well on target to employees to continuously learn and packing and despatch. The mould shop is reduce the waste disposal recorded last potentially a bottleneck, but much has been year – waste has been declining for the done to alleviate this by introducing robot- past four years. Scrap rates are also improve. The plant sets annual cost-out targets, which this year sits at £300,000 – the site is TOP 3 assisted machinery, TPM and set-up time reducing, with specific materials such as reduction events. For example, a recent brass and copper segregated for recycling. project to re-route die waterways saved 19 Furthermore, energy costs are down on minutes per set-up. 2012 thanks to a number of ongoing Significant improvements are also POINTS ▼ CI driven throughout the factory against annual cost-out targets ▼ Flexible working arrangements mean no temporary labour on site ▼ Huge emphasis on reducing energy consumption and waste www.bestfactoryawards.co.uk projects relating to process chilling, evident in the press shop where a self- moulding, pipe lagging and variable speed defined electronic decision system, called compressors. In fact, Eaton is shortly to E-Kanban, has replaced T-cards. The new introduce automated power energy system monitors current kanban stock levels monitoring. while providing information such as expected Ultimately then, not just a Highly tool requirements, material shortages and Commended in this year’s Best Electronics & planned run time dates displayed via two 55- Electrical Plant Award, but a deserved winner inch industrial display monitors. of the Energy & Environment Award. ■ BFA-25 Gain a competitive edge... WKURXJKDOHDQDSSURDFKWREXVLQHVVZLWKTXDOL¿FDWLRQV in Business-Improvement Techniques from EAL Is your organisation looking to implement the principles of lean enterprise to help eliminate waste, reduce costs and boost productivity? EAL qualifications in Business-Improvement Techniques (B-IT) help businesses of all sizes to achieve process and quality improvements in the workplace, as well as inspiring employees to contribute to your business success. Choose from: Level 2, 3 and 4 competence qualifications Level 2 and 3 QCF knowledge qualifications (Technical Certificate) Level 3 Award in Six Sigma Quality Methodology. 7R¿QGRXWPRUHFDOORU email customercare@eal.org.uk www.eal.org.uk ...closer toindustry BENEFIT FROM INCREASED FUNDING Increased funding is currently available for most of EAL’s B-IT qualifications, so there has never been a better time to equip your employees with lean enterprise skills. “Driving improvements through B-IT demonstrated the power, passion and results that can be achieved with engaged employees.” Alan Lomas, IPS Manager Jaguar Land Rover UK ▼ BEST FACTORY AWARDS Siemens Industry Motion Control Winner: People & Skills Development Award Highly Commended: Best Electronics & Electrical Plant Performance in overdrive Forget the management speak – people really can be your best asset, as proved by all-conquering variable speed drive manufacturer Siemens of Congleton A Outside the obeya sessions, the shopfloor ll the cliché-wielding David Brents of again like that,” says Dowling. “Our the business world should be sent on a customers were going to become much can submit eureka moments via a dedicated tour of Siemens, Congleton. This choosier: now, they’d want to hold less stock suggestion scheme centre using email or old- manufacturer of variable speed drives – used and get products faster.” fashioned pen and paper. Star ideas bring in everything from air-con units to airport The 2015 blueprint provides Congleton’s cash prizes and public recognition. The site baggage handling systems – shows precisely riposte. A huge wall chart depicts eight also runs a champions scheme to celebrate what the ‘we value our people’ mantra can strategic themes, which branch off from the outstanding individual behaviours, such as achieve when it’s more than management core goals of quality, cost and delivery like taking on extra responsibility. A recent trite. moons orbiting the planets. Under titles like winner had the courage to stop the line ’be super fast to market’ are the actions, with because of quality concerns. Nearly 90% of employees have had an improvement idea implemented under the a named employee responsible for ensuring site’s suggestion scheme this year. Shopfloor delivery. workers, for example, have boosted line efficiency by going all ‘Grand Designs’ and And this isn’t an isolated management mural. Shopfloor teams perform daily At Congleton, power is firmly in the hands of the people. Operators are entrusted to redesign work areas with the support of finance and procurement experts. Employees giving workbenches a makeover to improve must pitch their plans to Dowling and his ergonomics. management team. “Without fail they’ve saved 50% in space, they’ve measured all the Even the most junior team members are chipping in. Apprentices start out in a waste – the muda – how far they have to custom-built Junior Factory, where they must walk and materials handling.” Designs are mocked up with cardboard build a fan assembly for a drive unit for less than the price being paid to the current and sticky tape, with successful bids trialled Chinese supplier. in plastic before turning permanent. “Every time I come away from these pitches, I think There’s no idea too far out of left field for the Siemens management team, providing it how lucky I am to work with these people,” can prove itself against the site’s hallowed enthuses Dowling. And with the plant boss leading 2015 strategy – anchored on improving quality, cost and delivery, says Finbarr Congleton to commercial success and critical Dowling, managing director at Congleton. acclaim after the dark days of 2009, the feeling will be very much mutual. ■ The strategy was forged during the “dark” recession-hit days of 2009. One of Dowling’s first jobs was to stave off the administrators at many of the factory’s UK suppliers. debriefs around whiteboards etched from Customers had also suffered from holding the same strategic stone. The focus has high levels of stock when the crash hit. “Nobody was ever going to be caught out yield is 99.55% on units; and productivity TOP 3 worked: current delivery performance is 98.5% compared to 85% in 2011; first pass (savings) as a percentage of value added costs are running at 8% versus 5.5% in 2011. POINTS ▼ Eats, sleeps and breathes strategic goals of improved quality, cost and delivery ▼ Outstanding employee engagement: 86% have submitted and implemented an improvement idea via the suggestion scheme ▼ Launching an apprentice-led Junior Factory scheme to in-source components All powered by indefatigable teamwork. Groups of employees from all backgrounds have been seconded to special ‘obeya rooms’ where they’re handed a product, a pack of marker pens and a mandate to find a better way. Dowling says: “Obeya is Japanese for war room: it’s not strategic, more tactical. The strategy is to win the war. The obeya room is about winning the individual battles.” Budding Napoleons have helped to cut some product costs by 40% and one obeya session came up with 260 improvement ideas for a single product. www.bestfactoryawards.co.uk BFA-27 Inspired by innovation September 2013 M A N U F A C T U R I N G M A N A G E M E N www.newelectronics.co.uk T september 2013 www.eurekamagazine.co.uk In this issue: Sensors, Test & Measurement • Rapid Prototyping • Drives, Controls & Automation The shape of things to come? One direction Developing a pot of gold? Making your IT systems work in harmony Building intelligence into the next generation of robots 10 September 2013 DEFENCE ELECTRONICS • SoC DEBUG • ELECTRONICS DESIGN SHOW PREVIEW Incorporating Plant Engineer UK based researchers are looking to get an early lead in the race to develop 5G technology Broken Britain Why our labour productivity lags behind Europe Hydrogen bond The fuel cell and the forklift truck ALSO IN THIS ISSUE: Engineering Design Show 2013 Preview EXCLUSIVE Cameron: ‘How I’ll put the Great back into British engineering’ THE EVOLUTION CONTINUES DESIGNSPARK PCB v5 – WWW.DESIGNSPARK.COM/PCB THE PAN-EUROPEAN MAGAZINE OF SAE INTERNATIONAL INSPIRING THE UKÕS APPRENTICE AND GRADUATE ENGINEERS July/August 2013 AUTUMN 2013 CONTINENTAL: GETTING TO GRIPS WITH TYRE DESIGN HYDROGEN POWERTRAIN BREAKTHROUGH BASF: TOWARDS A LIGHTER FUTURE Cameron exclusive: ‘I’d love my kids to be engineers’ Full throttle Stunning speed, spectacular soup-ups and illegal overtaking... EC goes trackside for Formula Student www.findlay.co.uk www.machinery.co.uk Autu mn 2013 • A E ureka publication UNIQUE RESOURCES BY RIFF ON MY 3D PRINTED GUITAR • WORLDSKILLS WINS • CAREER DILEMMAS SOLVED September 2013 www.mater ialsforeng in eer ing.co.uk FASTENING & ASSEMBLY SOLUTIONS AND TECHNOLOGY BUILT TO HANDLE THE TOUGHEST CONDITIONS I s P L A vi abl e fo r e n g i n e e r i n g ? Recycled plastics reach car interiors Designing the bike behind Olympic gold LIFE BEGINS RENISHAW’S EXPANSIONIST PLANS What’s happening at Engineering Materials LIVE! Medical manufacturing Exhibition preview Local successes add up globally Implant production secrets revealed Advanced Engineering 2013 Haas Automation's story of growth SE PA RAT E AE ROSPACE SUPPLEM EN T g urin Feat dri MET GY LO NO CH TE designed for the harshest environments JULY 2013 Passionate about engineering ▼ BEST FACTORY AWARDS Tharsus Group Winner: Best SME Original thinking In just 10 years, Tharsus has evolved from a £1 million ‘metal basher’ into an £11 million pioneer in a service known as OEDM. Intrigued? You should be B lyth-based Tharsus Group is the partnership’ ethos, these include: fixed unit epitome of ‘evolve or die’. In less than cost – not fixed overhead; collaborative a decade, the company has become design, which is proven to improve the unrecognisable from the conventional product; the availability of production metal-based engineering subcontractor of bandwidth; and the ability to leverage an its previous incarnation. After a successful existing supply base. OEDM relies on a escapade in manufacturing cable strong, collaborative supply chain and management equipment, that particular Tharsus has reduced its number of suppliers world “stopped turning” in the 2009 global by 27% in recent years based on best downturn, leaving the company to once overall value and performance. more rethink its strategy. In a moment of The OEDM formula is certainly working. inspiration, the company decided to start Aside from 20% year-on-year growth, in offering its considerable in-house skill set as 2008 exports were less than 5% of business, a new contract-based niche service known whereas now they are more than 40%. as original equipment design and The company’s balance sheet success is manufacturing (OEDM). Five years on, and underpinned by extensive manufacturing the success of OEDM has been meteoric. improvements. When Tharsus acquired its With 150 employees and a management Blyth factory, it was an empty, vandalised team drawn from the automotive and FMCG shell. Today it is a sparkling reflection of the sectors, this privately-owned business takes fruits generated by best practice methodologies such as lean and Six Sigma. Around 100 suggestions for improvements were implemented last year alone. Adopting a flexible, cellular approach, electrical test is the only ‘hard point’ at Blyth – everything else can be relocated as single lane assembly with five test stations. Similarly, despatch layout has been reorganised to accommodate one-piece flow. SOPs and product traceability have also required on wheels. FlowTube-based been introduced, while kanban systems assembly stations have been defined with now exist for parts at workstations (vendor huge input from each cell, bringing managed) along with a pull system between ownership and pride to the shopfloor. the three Tharsus sites. The business Previously, workflow through cells was not evident, but CI activities in assembly have employs KPIs across all major functions. Tharsus has a core of permanent led to better floor space utilisation and employees, with others on three-month the strain of design, development and increased output. Typically, cells now offer rolling contracts, and some agency staff. A manufacturing on behalf of its brand name some 20-30% increased capacity, chiefly weekly meeting between manufacturing customers. The company says it is more through reduced build times. Certain and sales helps dictate labour planning, cost effective than the alternative of using assembly cells went from three-lane while the company’s recently installed separate design houses, test houses, configuration with a bottleneck at test, to Insight 123 MRP is run daily. Operators here are graded (three levels) certification bodies and contract manufacturers. Crucially, customers retain the IP to the solutions provided by Tharsus. Accommodating annual product volumes from 50 to 5,000, among the concepts recently transformed into fully resolved solutions include some that entail hydrogen generation, aqueous parts washing, wind power, electrical vehicle charging, localised energy storage and flow battery technology, to name but a few. There are many benefits of working with an OEDM business. Aside from the ‘true www.bestfactoryawards.co.uk for skills via an engagement and TOP 3 development programme that includes skills matrices for each cell – skills flexibility is POINTS ▼ Innovative OEDM business model is driving growth and prosperity ▼ Flexible manufacturing cells offer 20-30% increased capacity ▼ Skills matrices for each cell have already led to 70% skills flexibility across manufacturing operations now around 70%. There are quarterly performance reviews, annual appraisals and an employee engagement survey. There is even lunch with the CEO, Brian Palmer, for all new starters so they can share his enthusiasm and vision: he might now be tempted to mention that his company has just outshone the competition to win Best SME at the Best Factory Awards 2013. ■ BFA-29 Boost the Effectiveness of Your Factory Learn to Use Our Tools and Frameworks to Become More Effective in Your Operations For more information or to book on any of our programmes please call Val Bickerton on +44 (0) 1234 754 505 or email val.bickerton@cranfield.ac.uk Strategic Performance Management Course Dates: 07 - 09 Oct 2013 or 12-14 May 2014 Professor Mike Bourne delivers Strategic Performance Management, a breakthrough programme that gives you a powerful set of tools to help you translate your strategy into action. You gain the capability to design and implement appropriate measures that set you on the path to becoming more effective at managing your organisation. http://www.som.cranfield.ac.uk/ som/strategy Operational Performance Management Innovation Management: Strategy & Implementation Course Dates: 10-11 Oct 2013 or 15-16 May 2014 Course Dates: 12-14 Nov 2013 or 10-12 Jun 2014 Dr Veronica Martinez delivers Operational Performance Management. Gain breakthrough tools that lead to peak operational performance. Acquire the capability to successfully manage and improve performance at the individual, team and organisational level. Professor Keith Goffin delivers Innovation Management: Strategy & Implementation, a powerful 3 day programme to help you increase the commercial success of new breakthrough products. Walk away with a world class action plan that forms the basis for an effective innovation management strategy. http://www.som.cranfield.ac.uk/ som/operations http://www.som.cranfield.ac.uk/ som/innovation Past attendees include: Boeing, Bosch, Reckitt Benckiser Plc, Lego Systems, Miele, Home Office GLOBAL MANUFACTURING ROUNDTABLE Director: Dr Marek Szwejczewski Do you want to improve your global operations? Our goal at Cranfield School of Management is to focus on the challenges faced by practitioners in UK manufacturing. The Global Manufacturing Roundtable (GMR) offers the opportunity to share knowledge and best practice as well as explore new ideas which can often prove beneficial to those with common issues. “I always find the debate and the understanding of other club members very useful in stimulating my thoughts.” Operations Director, Landscape products BEST FACTORY AWARD WINNERS Free Download To discover how previous Best Factory Award winners have improved and become more competitive, please visit our website www.cranfield.ac.uk/ som/bfa/reports.asp where you will find individual case studies and reports. TAILORED INCOMPANY WORKSHOPS We also offer tailored incompany workshops to help improve your responsiveness, flexibility and innovativeness. For more information please call Maggie Bridge +44 (0) 1234 754 498 or email m.bridge@cranfield.ac.uk http://www.som.cranfield. ac.uk/som/gmr ▼ BEST FACTORY AWARDS Tata Global Beverages Winner: Judges’ Special Award Highly Commended: Best Household & General Products Plant Highly Commended: People & Skills Development Award In the bag The nation’s largest producer of teabags is the Eaglescliffe plant of Tata Global Beverages, from where its famous Tetley brand commands an impressive 28% of the UK market A s we all know, Tetley make teabags at Eaglescliffe, but first the tea needs to be make tea. However, the way it’s done blended. Again, this is an automated, at Eaglescliffe is mightily impressive. The site conveyorised process comprising sack produces a staggering 280 million teabags a loading, screening, bailing and sack slitting, week for 254 customers that include all of before weigh stations see the tea enter silo the major UK supermarkets. What’s more, farms. From here, it is subject to automatic the direct cost per tonne at Eaglescliffe is weigh pans and vibrating pans before being cheapest in the group, which includes sites blended. in India, Poland, the Czech Republic and Russia. How so? Well, speed and labour content are the chief differentiating factors here, and Moving into the carton production hall, 76-teabag boxes come off the line every two seconds. If that seems impressive, softpack manufacturing is even more so. Around 80% they have to be: day one orders are typically of plant volume takes place in this 24/5 area, for day three delivery. As a result, Tata Global where the lines produce 240-teabag packs Beverages rightly considers itself “an at a rate of 33 per minute. The past seven engineering function that makes teabags”. years have also seen the introduction of As might be expected, high degrees of automation are prevalent throughout the robot cells for palletisation. Not that CI is exclusively technology 370-employee plant, underpinned by based: at operator level there are balanced significant capital investment. With so much scorecards with key metrics. CI is a way of technology, the site operates a programme life here and Tata Global Beverages of maintenance excellence. Condition-based encourages its people to drive years ago) to 27 on average today – some monitoring is deployed using techniques improvements. For example, just two years 95% have now attained NVQ Level 2 in Business Improvement Techniques. such as thermal imaging, along with 125- ago, changeover reduction (tea-to-tea) stood point weekly machine checks. Just seven at two hours, but through a series of years ago, planned maintenance completion activities requiring operator engagement, stood at 40%, now it is 90-95%, a result that this is now 25 minutes. has pushed up availability and OEE, and helped reduce costs. Teabag manufacturing and packaging (into softpacks or cartons) is extremely slick In terms of empowerment and Multi-skilling is another key training initiative. In softpack, for example, 100% of operators are competent on every machine. Training manuals are currently being development, the site uses Hoshin Kanri, a prepared for every asset at Eaglescliffe, methodology similar to kaizen that uses which will result in a consistent approach to several tools to build a CI ‘house’. These development. include a PDCA improvement cycle, 5S and standardised work instruction, structured Such endeavours mean Tata Global Beverages bags a Highly Commended in and practical problem solving, value stream People & Skills Development to add to and process mapping, visual management, another in the Best Household & General TPM, SMED, poke yoke, lean measurements Products Plant category – all topped off by such as OTIF and OEE, and management winning this year’s Judges’ Special Award. control and reporting systems. The ultimate Deserved recognition for the home of tea goal of the CI house is to deliver self- and Tetley Tea Folk. ■ generating and fully operational teams – and, of course, savings. Using Hoshin, the vision is to be the best FMCG factory in the UK, delivered using seven strategies. The results to date include: reducing the manufacturing cost base by 10%; cutting the logistics cost base by 11%; increasing output per direct employee by a factor of 2.3; and increasing softpack and carton OEE to more than 85%. Other achievements include increasing the number of training days per employee from five (five www.bestfactoryawards.co.uk TOP 3 POINTS ▼ Hoshin Kanri strategy used to train and empower people through CI ▼ Impressive reductions in both manufacturing and logistics cost base ▼ Maintenance excellence programme deployed to maximise uptime BFA-31 ▼ BEST FACTORY AWARDS DS Smith Packaging Highly Commended: Best Household & General Products Plant Highly Commended: Supply Chain Award Packaged benefits Producing 140 million boxes a year, there’s no room for slack performance at the UK’s undisputed leader in corrugated packaging A s a company, DS Smith Packaging is number one in the UK for corrugated packaging with a 33% share, while as a site Livingston is the single largest corrugated packaging facility in Scotland. So what’s driving this success? Well, the branded spirits market represents a major opportunity in the locality, growing at circa 15% per annum, largely due to increased consumption in the BRIC nations. Another major driver is market demand for point-ofpurchase packaging. However, DS Smith doesn’t just design and manufacture these retail-ready packages, it collects the empties from the supermarkets and sends them to its own recycling plants, making the material ready for use again within days. Site capability, price and innovation are the Livingston plant’s USPs. The latter is now key to improving the whole supply chain through to customer delivery. For Wednesday, it’s generally for delivery on instance, for a well-known cereal Friday – no one wants stock in the supply manufacturer DS Smith came up with a chain. thinner, lighter design of corrugated flute From a production perspective, capacity From a conversion perspective, the site operates 10 machines including two Bobst flatbed die cutters installed last year at a cost of £480,000. However, pride of place in that saved space without any detriment to balancing as part of site S&OP is an this area will soon go to a new £4.8mBobst strength. In total, 911 pallets or 24 full loads important management tool. Recent six-colour (plus varnish), flatbed die cutter per annum were saved, along with 22 improvements in this area have optimised that is currently being commissioned ready tonnes of CO2 emissions. working capital and boosted OTIF, not to to commence production in October. One of mention reduced paper stocks considerably. only seven in the world, it is the first such geometry or fibre content, is proven to save Furthermore, regarding the age profile of machine in the UK. on lorries, pallet movements and paper stock, previous two-week stock turns warehouse space – all of which are are now reduced to just four days. Good design, such as changes to box enormously beneficial to the supply chain. In total, 129 of the 175 employees at But it’s not all about the technology. In a 2012 employee survey conducted by a third party, the top three most favourably scored categories were health and safety, This is just as well because the production Livingston are involved in the and logistics operation here needs to be manufacturing process over a 24/5 leadership and engagement. The latter is slick. For example, if DS Smith Packaging operation. The company’s colossal evident by way of the culture of CI instilled receives an MRP plan from a customer on a corrugating line features two knives so that throughout the Livingston site. Of 1,003 two case types can be run simultaneously. suggestions for improvement put forward The corrugator can also accommodate last year, 517 were implemented. TOP 3 POINTS ▼ Innovation drives cost and environmental benefits across the supply chain ▼ Automated WIP system has boosted capacity by 30% ▼ Leading technology deployed includes the UK’s first six-colour die cutter of its type 32-BFA multiple flute profiles and paper grades, Furthermore, the company works closely and is pre-print compatible. An Escada with the University of Strathclyde to design Syncro system allows complete process tailored lean Six Sigma courses that involve control, office communications and students having to generate at least £2,000 traceability. worth of savings as a result of project work. Between the corrugator and the converting machines sits an impressive Unsurprisingly, DS Smith Packaging has secured several industry awards in recent Dücker automated WIP system. This £3m years, and now it has two more richly investment has increased capacity by 30%, deserved accolades to swell the trophy while recently introduced RFID technology is cabinet at Livingston: Highly Commended in also used to aid material accountability both Best Household & General Products throughout the production journey. Plant, and the Supply Chain Award. ■ www.bestfactoryawards.co.uk ▼ BEST FACTORY AWARDS Autoglym Highly Commended: Judges’ Special Award Rise and shine Autoglym is on a mission to make the world’s most successful vehicle care products – and judging by progress to date, its journey is well advanced B ecause so many people love their been saved. At the end of the line is the cars, vehicle care is big business. most recent Autoglym investment, an Letchworth-based Autoglym is certainly automated case packer capable of packing capitalising by today manufacturing over 400 bottles a minute. 100 cleaning, polishing and protection products for the car enthusiast. Moreover, Despite the many improvements, there is no complacency here. As part of its there are a further 20 new products manufacturing strategy, the management currently in development. team has identified a range of gross Demand is clearly strong, which means manufacturing operations must be equally margin projects designed to further improve operations. Some have already robust. A step change in production at produced savings of circa £45,000, and the Autoglym arrived in 2006, when increasing company currently has around 100 such orders meant the company was faced with projects in progress. Important business introducing a night shift or scaling-up the objectives will be driven by a number of plant. The shrewd management team key imperatives and ‘must do’s’ that chose the latter. Ever since, there has been include further improvements in stock huge progress in areas such as aqueous reduction, planning, forecasting, efficiency, production, which now offers four times customer service and more. A dedicated CI more capacity than 2006, blending over 1 million litres of product every month. The The skills matrix is linked to a investment totalled around £500,000 but structured pay matrix. There is also a good achieved ROI within 12 months. pension scheme, free-issue shares and On a similar theme of improvement, the monthly dividends. There are annual filling, capping and labelling of volume retail products now takes place on the appraisals, paid lunchtimes and Christmas company’s automated ‘Super’ line, which bonuses. Autoglym has been in The Sunday commenced operations in 2011. All 48 retail Times list of the UK’s ‘Best 100 Companies products, in four different bottle sizes and to Work For’ for the past eight years. In return, the workers display an with two different closure types, are exemplary can-do attitude which helps the produced in batches of around 15,000 on a single line with vision-enabled technology company meet demanding monthly to ensure quality control. performance targets. Measures include cost of sales, scrap, overheads, customer Previously there were three retail product lines, each of which would be team is deployed to manage and monitor down twice a day to allow 30-minute the projects. changeovers. Due to a level of redundancy From a planning perspective, the built into the new single line configuration, company takes sales order processing data around four hours’ downtime per day has into its Oracle JD Edwards software system. MRP runs daily, with production TOP 3 POINTS ▼ Huge advances in all production areas, focusing on automation and efficiency ▼ Dedicated CI team driving improvement projects ▼ Multi-skilled staff deployed to serve all factory areas www.bestfactoryawards.co.uk service, staff absence and housekeeping. Autoglym also produces a monthly working capital report focusing on inventory, including raw materials. The company has come a long way since its origins in 1965, today employing plans and works orders generated by 130 people and exporting to 40 global line/area to meet the required date. There markets. are production team briefings at 07:30 every morning. Interestingly, there are no team leaders at Autoglym. Instead, using skills matrices, Its products are endorsed by almost every major car manufacturer and 15 racing teams. The company even has two Royal Warrants of Appointment that see its the company looks to multi-skill its products used on vehicles serving HM The technician-level staff so they can work Queen and HRH Prince of Wales. anywhere in the factory. The most trained worker is now 83% competent across all Autoglym product labels say ‘Reflecting the best of British’. Absolutely – a worthy disciplines – two years ago this would have Highly Commended in this year’s Judges’ been closer to 20%. Special Award. ■ BFA-33 ▼ BEST FACTORY AWARDS Herman Miller Highly Commended: Judges’ Special Award Sitting pretty Shipping £90 million of goods every year from its Chippenham facility puts Herman Miller in the premier league of office furniture manufacturers and strive for perfection. Loosely based on 12-week bridge programme. As a result, the Toyota Production System, it embraces Herman Miller is starting to see daily a whole suite of technical tools, changes for the better and a more scientific philosophies and management systems. For approach to problem solving. There is also instance, philosophies include: customers Kata coaching (a Japanese first; people are the most valuable teaching/learning technique) and job resource; and kaizen is a way of life. instruction training. Before HMPS, the company had kaizen Many generic factory measures have events, but now it seeks improvements improved at Herman Miller over the course every minute of every day. Time is allocated of the past decade, notably reliability (OTIF) so that facilitators/leads can address issues which now stands at 99.4%, and PPM and drive change. Herman Miller has a lead- (faults per item shipped, scaled up to a operator ratio of 8:1 as it believes this best million), which is now less than 0.1%. supports CI, and leads spend around 80% of What’s more, in 2013, the company is their time engaged in CI activities. The looking to drive $650,000 out of its total eating is the core manufactured remainder is spent filling in for absence, material costs, as well as a 10% product at Herman Miller’s covering breaks or helping out if operators improvement in units per labour hour. S Chippenham factory. However, these are no fall behind, for example. HMPS uses a ordinary office chairs. High-end models structured method for implementing such as Aeron, Mirra and Sayl are desired improvements that typically entails by blue chip customers in industries such problem investigation and root cause as banking, accountancy, automotive and investigation before applying a PDCA (plan, petroleum, to name but a few. What’s more, do, check, act) counter measure. they carry a 12-year warranty, which means quality is a prerequisite, along with productivity and cost. ‘Task’ chairs – chairs designed to be The company’s FMDS (floor management development system) is the vehicle deployed for monitoring and driving metrics-related activities. Five metrics/KPIs used continuously – are produced on a are recorded, daily, weekly and monthly: single piece, 15-stage flow line, where they safety, quality, cost, performance and HR are assembled to order on typical takt development. Essentially, FMDS asks, are times of 45-65 seconds. There are four you on target and, if not, what activity is in different task chair models, although place to correct the situation? changeover time is only 30 seconds. Herman Miller uses an 80:20 (permanent- Training here is intensive, but it is undertaken to meet a skills matrix based on temporary percentage) labour flexibility mix business needs, not simply to train to address fluctuations in customer everyone. A recently introduced HMPS demand. Chairs are typically made today for training programme includes a one-day introduction, a five-day boot camp and a The future is certainly bright for delivery tomorrow – no inventory is held of finished products. Infor Syteline ERP (recently upgraded) allows Herman Miller to monitor customer demand, schedule delivery dates and track resources, while a bespoke electronic platform called MySign permits suppliers to see demand in real time, confirm delivery and provide shipment tracking. The entire manufacturing ethos centres on HMPS (Herman Miller Performance System), which was introduced in the late 90s to eliminate difficulty, eradicate waste 34-BFA Herman Miller. In 2014, the company will TOP 3 merge its existing three sites into a single, £13 million, 176,000 sq ft facility at nearby POINTS ▼ Uses its own manufacturing ethos, based on TPS, to drive best practice ▼ Deploys leads/facilitators to manage and drive CI ▼ Relocating to new £13 million facility next year across manufacturing operations Melksham, where it will continue to make seating fit for a king – or, indeed, God. In an episode of The Simpsons called ‘Thank God, It’s Doomsday’, Homer Simpson is transported to heaven after he correctly predicts the date and time of the apocalypse. He meets God, who just happens to be sitting in one of Herman Miller’s Aeron chairs. ■ www.bestfactoryawards.co.uk ▼ BEST FACTORY AWARDS Vi-Spring Highly Commended: Judges’ Special Award In bed with success Founded in 1901, Vi-Spring is the “inventor of the modern bed”, an ethos it has transferred admirably into the annual production of 135,000 mattresses T op-of-the-market beds are the name of working practice, safety and morale. Of the game at Plymouth-based Vi-Spring, course, they must also meet production a company where comfort is priority based targets and Vi-Spring cuts no corners when on a production recipe comprising it comes to measuring performance: craftsmanship and natural materials. While many of the processes here are operating productivity, non-productive time, pieces per operator per week, value inherently labour intensive, this plant is no per operator and monthly output value are slouch. For instance, it deploys a bank of 16 all recorded. automated spring manufacturing machines, Every Vi-Spring product is made to order with setting and operating procedures – no stock is held. A huge product mix of recently deskilled through process 168,000 combinations is dependent on size, standardisation. The result is consistent fabric and spring tension – the biggest quality and the elimination of variables. selling bed commands just 0.15% of this The completed springs move to one- figure. The company uses its own piece flow lines with 20-minute takt times customised Microsoft Access database for for mattress processes that include planning: orders and plans are employees. There are common wage terms nesting, hog ringing, side stitching, synchronised overnight with the company’s and conditions across the workforce that newly adopted SAP system. The system encourages a culture of participation and draws up a rough cut plan, with jobs sharing. A weekly paid, equal-share bonus entering a pool of work to be made in a system is deployed relating to product specific week. Daily labour requirements complexity and volume, while a planned are then generated, with orders scheduled training structure means 60% of operators to the day’s production plan. Impressively, 85% of the company’s annual £13 million raw material spend is split among just eight key suppliers. ViSpring has made huge strides in this area are currently dual- or multi-skilled. People like it here – only 15% of the 125-strong workforce has served less than five years. The wool used by Vi-Spring for its fillings is an entire story of its own. Suffice since 1994, when it had 34 main suppliers. to say the company takes 70% of all the The rationalisation has come about largely white wool produced by Shetland. It pays by encouraging suppliers to offer non-core above the market rate for the wool to help products. support around 700 crofters and their While 20% of raw material spend is vendor managed direct to line, a huge 71% is controlled by the stores team (using families on the island. This is indicative of a company keen to promote its brand and drive market kanban) directly from the shopfloor, thus success. And it hasn’t gone unnoticed. Vi- nurturing empowerment. Spring secured a 2012 Queen’s Award for The value of Vi-Spring’s reputation means the company takes care of its Enterprise for its growth in export sales: 39% of sales now originate overseas. assembly, taping, tufting and inspection. A What’s more, the company now has a water spider replenishment system based Highly Commended in the Judges’ Special on a time slot is used to keep lineside materials topped up. Divans are produced on separate lines, while fabrics are manufactured in another area based on flow cells. Cell leaders have a key role at Vi-Spring. Not only are they responsible for rigorous quality standards – the beds have a lifetime guarantee against manufacturing defects – they must maintain line balance, support KPI achievements, and promote good www.bestfactoryawards.co.uk TOP 3 Award to add to its trophy cabinet. POINTS ▼ Lean manufacturing used to combat enormous product complexity ▼ 71% of raw material spend managed by shopfloor staff ▼ Process standardisation has deskilled spring making set-ups and operations Unlike its customers, Vi-Spring refuses to get comfortable. Always looking for progress, the company deploys year-byyear operating improvement plans, detailing objectives, responsibilities and targets. Increased adoption of lean techniques since 1994 has left the company in very good shape – there is now the potential to grow the business 50% using existing space! ■ BFA-35 sharing manufacturing excellence The Best Factory Conference Hilton at St George’s Park, Burton-Upon-Trent, Staffordshire & Toyota, Burnaston 19-20 March 2014 Headline sponsor: A unique opportunity to fast track your way to higher productivity by learning how the winners of the 2013 Best Factory Awards transformed their businesses. The winning manufacturers in the 2013 BFAs all showed how a dedicated approach to continuous improvement and innovation can achieve amazing results. They succeeded by listening to their customers, working more closely with their suppliers, innovating their products and processes, and harnessing the potential of their people. The Best Factory Conference has been created to share the knowledge, skills and experience of those winning companies. ▼ ▼ ▼ PLUS, FOR 2014 CONFERENCE DELEGATES WILL ALSO BENEFIT FROM AN EXCLUSIVE TOUR OF TOYOTA’S BURNASTON CAR PLANT. See the Toyota Production System in action. Learn how Toyota uses the five R’s (refine, reduce, re-use, recycle and retrieve) to achieve zero to landfill. Witness the gruelling quality focus that ensures 110,000 cars a year make the Toyota grade. Whatever the size of your company and whichever manufacturing sector it operates in, you can only gain from investing two days in this exceptional conference. Organised by: To register your interest and for further details, call Val Bickerton on 01234 754505 or email val.bickerton@cranfield.ac.uk www.bestfactoryconference.co.uk Sponsored by: